UPDATE 1-TomTom Q2 shipments, prices up less than expected

* EBIT level in line with market expectations

* Says outlook for 2009 remains challenging

* Schedules rights issue for July 2 (Adds detail, background)

AMSTERDAM, July 1 (Reuters) - Dutch navigation device maker TomTom (TOM2.AS) said on Wednesday shipments and average selling prices had increased in the second quarter compared to the first quarter, but less than they had expected due to weak economies.

TomTom also said its gross margin remained strong in the second quarter, and it felt comfortable that earnings before interest and tax (EBIT) were in line with market expectations.

Shipments of personal navigation devices and average selling price levels had increased versus the first quarter, but not to the level of internal expectations due to a weak economic environment and retailer destocking.

"Our outlook for 2009 remains challenging in light of low consumer spending," TomTom said in a statement.

It also scheduled the planned 359 million euro ($507 million) rights offering aimed at reducing debt for July 2.

The firm, which makes portable navigation devices for cars and mapping software for handheld computers, said on Tuesday its shareholders had approved plans for the rights issue, which it plans to price at 4.21 euros per share.

Shares in TomTom were little changed in early trade, down 0.4 percent at 8.53 euros as of 0745 GMT, compared with a 1.2 percent rise in Amsterdam's blue chip index .AEX.

TomTom, which competes with U.S. rival Garmin Ltd (GRMN.O), has struggled under a 1.16 billion euro debt from its purchase of Dutch digital map maker Tele Atlas for 2.9 billion euros last year. ($1=.7077 Euro) (Reporting by Catherine Hornby; Editing by Hans Peters)